Eldorado Gold Corporation (TSE:ELD) released results from its second quarter ended June 30, 2018 today.
Gold production was at 99,105 ounces, including 3,134 ounces of pre-commercial production.
Full year production guidance increased to 330,000-340,000 ounces of gold from 290,000-330,000 ounces of gold due to expected higher production.
A number of key permitting milestones were achieved, including confirmation that construction of a mill at Kisladag could proceed under the existing Environmental Impact Assessment (EIA) and receipt of the mining concession at Tocantinzinho
Cash generated from operating activities was C$36.7 million; cash generated from operating activities before changes in non-cash working capital was C$23.5 million. The company held C$429.8 million in cash, cash equivalents and term deposits, and had C$250.0 million in undrawn lines of credit at the end of the quarter.
Gold revenues from continuing operations of C$121.3 million on sales of 94,224 ounces of gold at an average realized gold price of $1,287 per ounce.
Loss attributable to shareholders was C$24.4 million ($0.03 per share) primarily due to several significant non-cash charges. Adjusted net earnings of ($1.8) million ($0.00 per share)
Cash operating costs averaged $587 per ounce, all-in sustaining cash costs averaged $934 per ounce
"This was an excellent quarter for us. Production was strong, driven by better-than-expected ounces from the heap leach pad at Kisladag," said George Burns, Eldorado's president and chief executive officer. "We achieved lower costs at Olympias, reflecting mill and filter press optimizations. With production and costs continuing to trend positively, we have increased full-year guidance to 330,000-340,000 ounces of gold at $580-$630 per ounce. Development continues ahead of schedule at Lamaque and we are on track to complete the feasibility study for a mill at Kisladag in the third quarter of this year."
"Our cash position remains solid and in light of the positive performance in the first half of 2018, we continue to refine our views on capital and potential funding requirements to meet the medium to long-term needs of the organization and re-establish annual production of 600,000 ounces per year by 2021."